4 3 mins 10 yrs

I was on the BBC yesterday morning discussing the alleged plan that the Chancellor will announce tomorrow seeking to regionalise public sector pay. The idea is to ensure that there is parity between public and private sector pay in the various UK regions. I support this idea in principle.

Naturally, I am opposed by this by no less a figure than our Finance Minister Sammy Wilson and the various propagandists for Statism. What entertains me most is their compete failure to EXPLAIN why those who work for the State should be paid on average 27.7% MORE than those who fund them – the private sector.

None of these people seem to twig that there is a fundamental unfairness here that only on the make politicians, trade unionists and lickspittle media  would excuse. They bleat WHY should a nurse in Belfast earn less than a Nurse in London. OK, why should an office administrator in Belfast earn less than one in London? Why should a bricklayer in Belfast earn less than one in Birmingham? It’s called local economic conditions and these are what the apologists for the Public Sector deny.

It is perfectly reasonable to expect that the AVERAGE public sector wage in Northern Ireland equates to the AVERAGE private sector wage here. But that is called “harsh” and “unfair” by those who live off the pigs back. Why should the taxpayer indulge these people? The 27.7% wage disparity is only the first element of the unfairness. Then you have to add in those gilt-edged pensions, those longer holidays, the greater job security.  THAT is when you discern the massive inequality and yet the Finance Minister runs away from this. His excuse is to suggest that bringing the public sector pay in line with private sector pay would deflate the economy. What economic incoherence. Our economy is mired in YEARS of decline BECAUSE of the bloated unproductive sector that insists it is paid much more than it is worth.

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  1. I am sort of caught in a quandary with this one in that I don’t think it is particularly fair for a person in London, who has to deal with the significantly higher costs of living in London, should be paid the same as someone in Wales, Northern England or Northern Ireland, where cost of living is much lower.

    At the same time I don’t agree that the average public sector wage should equate to the average private sector wage. The reason is also the differences in the local economy. The private sector in London, and the South East of England, is very different to the private sector in Wales, Northern England and Northern Ireland. The idea is that people in the public sector in each region should get a similar wage to people doing the same type of job in the private sector and I don’t think that is what is going to happen. The private sector in London, and the South East of England, is more white colour based, more professional based, service based, financial services in particular. As such they have, on average, much higher wages. The private sector in Wales, Northern England and Northern Ireland is more based around the retail sector and the low skilled manufacturing sector than services or professional people. Thus the wages are much lower.

    The private sector needs to be able to compete, in terms of wages, with the public sector so the wages in the public sector must be set at a comparable level to their equivalent private sector jobs rather than simply taking a crude average.

  2. Well it depends on your philosophy, assuming you want State apparachiks about taking our cash in the first place. Let’s depressingly assume so.

    In a free market, wage rates are set by the competition in the area, it’s as simple as that. So anyone with half a brain ought to favour local pay rates (anyone with a full brain doesn’t want any State sector wage rates, of course).

    The alternative is the national wage rate, which is the (Marxist) labour theory of value. It assumes a hole dug in London is worth the same as a hole dug in NI. Or, if you like, that a great work of art is worth no more than a hole dug in the ground if it took as much labour to dig the hole than to produce the artwork.

  3. I have to apologise for my statistic, taken from the Finance Minister. I am informed the differential is not 28%. Sorry.
    It is 41.2% in total.
    Still, let’s make those private sector slaves WORK harder to sustain this, right?

  4. the proper way to look at this is the State apparachiks have deemed that to keep up with cost of inflation the need to earn that The 27.7%-41.2% wage disparity to be comfortable.

    They can write their own paychecks to do that, the private sector can’t.

    it like the bumper sticker I was talking about on the other post

    Do you work for a living, or vote for a living

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